Bull Case9 Sep 2025 17:22
OK, so here's my bull case theory. Maybe there is a way out of this, but it all depends on how the AGM goes:
1. The flash boys and the rest of the inept board cronies and nepos get the boot and are replaced with actual professionals at the forthcoming AGM. Maybe Dan survives the vote, maybe not. Maybe Frasers move in, but only on certain assurances about restoring the company.
2. Capital and operational waste CEASES on white elephant facilities, glorious "dead posh now innit Dubai Monaco Turkey Lambo" rebrands, stock write-downs to facilitate said flashy yet pointless rebrands, all the business trips, all the parties, all the influencers, the z-listers etc. Molly Mae, Twiggy and Eric Bristow will all be crying into their wads of notes, but that's OK. No management bonuses without stellar performance.
3. Excessive overheads are ruthlessly cut away. Facilities. Staff. Redundancies if necessary. TUPE if possible.
4. The business starts being honest a) with themselves and b) with investors about which brands are genuinely profitable, and sells or winds down unprofitable beyond-help millstones. Looking at you, PLT & NastyGal. Management fights to get a decent price for them to settle the Wonga loan the predecessors saddled the group with, and doesn't just flog them to the Klan for a quid.
5. Performance continues to improve with Debs, KM and the other small brands. Alliances with Frasers or others extend product range, market reach and consequential revenue. Presence in stores once more, maybe with Next.
6. Business effects a step change in communications to elicit confidence in agencies and investors, counteracting the current information vacuum which is eroding the share price. Business is perhaps able to announce a very small but pivotal pre-tax profit perhaps FY26, if they move fast and firmly enough.
7. Share price begins its long and painful climb like the first creature to drag itself out of the primordial ooze. Tradey breaks even on his high six-figure investment as the share price passes 380p in the year 2040.
8. Dream ends, I awake, open LSE to read that the group has gone bust.
Sign In
Follow the stocks
